New Regulations Applicable to Foreign Workers in Vietnam

On 30 December 2020, the Government of Vietnam issued Decree 152/2020/ND-CP regulating the management of foreign workers in Vietnam and the recruitment and management of Vietnamese working for foreign organisations and individuals in Vietnam. The Decree will come into effect on 15 February 2020. This Decree regulates foreign employees working in Vietnam as well as the recruitment and management of Vietnamese working for foreign organisations and individuals in Vietnam following the provisions of the revised Labour Code. It specifically deals with the conditions and procedures for issuance, re-issuance and extension, withdrawal of work permit and confirmation letter in cases where foreign employees are exempted from having a work permit under Article 157 of the Labour Code and under Clauses 1, 2 and 9 of Article 154 of the Labour Code. It also covers the recruitment and management of Vietnamese employees working for foreign organisations and individuals under Clause 3, Article 150 of the Labour Code.

WORK PERMIT EXEMPTION

Under Government Decree 152/2020/ND-CP dated December 30, 2020, on management of foreign workers in Vietnam and recruitment and management of Vietnamese workers for Vietnam-based foreign entities and individuals, a foreign worker may be exempt from Vietnam’s work permit if falling in one of the following cases:
- Being a chief representative or director of a project, or being in charge of operation of a Vietnam-based international organization or foreign non-governmental organization.
- Entering and staying in Vietnam for under three months to offer services.
- Entering Vietnam for a period of under three months to solve complicated technical or technological incidents that adversely impact or are likely to adversely impact production or business activities and cannot be solved by Vietnamese experts and foreign experts currently in Vietnam.
- Being a foreign lawyer who has been licensed to practice law in Vietnam in accordance with the Law on Lawyers.
- Falling into one of the cases specified in treaties to which Vietnam is a contracting party.
- Having married a Vietnamese and is currently residing in Vietnam’s territory.
- Being the owner or capital contributor of a limited liability company with a contributed capital value of at least VND 3 billion.
- Being the chairperson or a member of the Board of Directors of a joint-stock company with a contributed capital value of at least VND 3 billion.
- Being an intra-corporate transferee in one of the 11 sectors specified in the Schedule of Specific Commitments in Services between Vietnam and the WTO, including business, communication, construction and engineering, distribution, education, environment, financial, health, tourism and travel, recreation, cultural, and sporting, and transport.
- Entering Vietnam to provide professional and engineering consultancy services or perform other tasks to serve research, formulation, appraisal, supervision, evaluation, management and implementation of programs and projects using official development assistance (ODA) in accordance with regulations or agreements in treaties on ODA signed between competent authorities of Vietnam and foreign countries.
- Having been granted a certificate of communication and journalism practice in Vietnam by the Ministry of Foreign Affairs in accordance with law.
- Being sent by a foreign competent authority to Vietnam to teach or do research at an international school managed by a foreign representative mission or the United Nations; or at a facility or an organization established under an agreement to which Vietnam is a contracting party.
- Voluntarily working in Vietnam without pay to implement a treaty to which the Socialist Republic of Vietnam is a contracting party as certified by a Vietnam-based foreign representative mission or international organization.
- Entering Vietnam to work as a manager, chief executive officer, expert or technical worker for a period of under 30 days and for no more than three times a year.
- Entering Vietnam to implement an international agreement to which a central- or provincial-level authority is a signatory in accordance with law.
- Studying at a foreign school or training institution that has a probation agreement with an agency, organization or enterprise in Vietnam; or a probationer or apprentice working on board a Vietnamese seagoing vessel.
- Being a relative of a staff member of a Vietnam-based foreign representative mission who is permitted to work in Vietnam in accordance with a treaty to which the Socialist Republic of Vietnam is a contracting party.
- Possessing an official-duty passport to work for a state agency, political organization or socio-political organization.
- Being responsible for establishing a commercial presence.
- Being certified by the Ministry of Education and Training as a foreign worker entering Vietnam for teaching or research purpose.

The Ministry of Labor, Invalids and Social Affairs or provincial-level Departments of Labor, Invalids and Social Affairs is/are competent to certify foreign workers who are exempt from work permit.

WORK PERMIT VALIDITY PERIOD

Foreign workers not falling into the above-mentioned cases and entering Vietnam to work are required to obtain work permits.
Under Article 10 of Decree 152, the validity period of a work permit conforms to that of the following documents but must not exceed two years:
- The labor/employment contract expected to be signed.
- The foreign worker’s work assignment in Vietnam.
- The contract or agreement concluded between Vietnamese and foreign partners.
- The service provision contract or agreement concluded between Vietnamese and foreign partners.
- The period stated in the document of the service provider that sends the foreign worker to Vietnam for negotiation of the service provision.
- The period stated in the operation license of the agency, organization or enterprise.
- The period stated in the document of the service provider that sends the foreign worker to Vietnam for establishment of a commercial presence.
- The period stated in a document proving the foreign worker’s eligibility to participate in operation of a foreign company that has established its commercial presence in Vietnam.
- The period stated in the document approving the employment of the foreign worker, except where an explanatory report on the need for foreign workers is not required.

WORK PERMIT RE-GRANTED/RENEWED

A work permit may be re-granted in case it remains valid but is lost or damaged, or there is a change in full name, nationality, passport number or workplace of its holder. The validity period of a re-granted work permit equals to that of the original one minus the period during which the holder has worked counting to the date of request for re-grant of work permit.

A work permit may be renewed once for up to two years, provided the following conditions are satisfied:
- Its remaining validity period is between five and 45 days.
- The need for employment of foreign workers is approved by a competent agency.
- There are documents proving that the foreign worker holding the work permit will continue working for the employer in accordance with the original work permit.

The Decree (full text): https://vbpl.vn/TW/Pages/vbpqen-toanvan.aspx?ItemID=11136

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